MG executives say the safety offered by the new MG 3 hatch is 'perfectly fine' for city use despite a three-star rating – but structural upgrades are coming regardless.
MG has defended the safety offered by its new MG 3 city hatch for its intended urban environment – despite a three-star rating in independent testing – but has confirmed upgrades are around the corner, at a cost.
ANCAP testing published last month recorded three stars for the latest MG 3's safety due to weaknesses in how well it protected occupants, and how effectively it can prevent a crash.
In the physical crash-test component of the ANCAP rating, the MG 3 earned four stars – but was pulled down just below the minimum requirement for four stars due to its technology, leaving it with three.
MG has confirmed updates to the city hatch are in development – to both its structure and the software powering its safety technology – with five stars as the target, but they will incur a price rise.
Executives have warned adding every available safety feature to the MG 3 could add $10,000 to the price, but they have assured it is not MG's intention.
In the meantime, they say the safety offered by the current model is adequate for city areas where the car will be used most – despite ANCAP's crash tests being conducted at urban speeds, no higher than 64km/h.
"[As for] what do you prioritise, it becomes more so challenging, especially in the entry segments, like MG 3," MG Motor Australia head of product Akshat Ahuja told local media.
"You put all that [top-level advanced safety] stuff in, it becomes $10,000 more expensive, right? How many people would buy an MG 3 or any small car if they were to pay that sort of money, right?
"But I think, if we look at the product, MG 3 is mostly a city car. It's not a car that you would take from Sydney to Melbourne and be on the highways doing 100km/h.
"And for that purpose, which that car is made for, it's got all the ADAS [advanced safety] systems. It's got more than enough safety equipment in it, the airbags, and et cetera, so within 50, 60, 70, 80km/h zones, that car is perfectly fine from a safety point of view. I think it's segment by segment."
"HS, of course, it's a medium SUV. Most people, they use it differently from MG 3. It's a five-star car, [at a] different price point, so I think it's case by case basis.
"We always have to find where that balance is. We don't want to make MG 3 a $35,000 car. But on the same note, we do have the improvements on the radar for MG 3 as well, which are not far away, so that'll also be positive news."
Arrival timing for the upgrades is yet to be confirmed, but executives say more details are due early 2025 – with the aim of five stars in ANCAP and Euro NCAP testing.
"We have confidence because we were retesting in Europe. And the engineers told me they have confidence of above four [stars]," MG Motor Australia CEO Peter Ciao told local media including Drive.
"The engineers told me they have confidence. We will never guarantee what is the result ... That's [just] our goal. We focus on the goal."
Asked if the upgrades will result in a price rise, Ciao said: "I just said more safety equipment, [so] 100 per cent [there will be] more cost.
"But there's competition, [so] our job is how to reduce the cost and keep the best offer to the customer. That's our job.
"I don't want to say the price is the excuse for the safety. I don't want to say that. We try our best, give the best price [and the] best safety offer to the customer," Ciao said.
MG Motor Australia chief commercial officer Giles Belcher added: "Unfortunately everything comes with a cost."
The MG 3 is currently on sale starting from $22,990 drive-away, making it one of the most affordable new cars on sale.
Ciao told Australian media last year the company elected to fit fewer advanced safety features to its MG 5 small sedan to keep its entry price down, and acknowledged the decision as a "risk".
"This is competition. From a company [perspective], our job is always aim at top level safety, and try our best to reduce the cost, and then continue to provide a good value offer to customers," Ciao said when asked how MG balances safety with its pricing.
"That's just an example of our latest HS. This car, if you drive it, you will find is a fantastic car, but even based on this low price, we still provide a five-star ANCAP."
He added: "We always provide the best-priced car to customers, but we also aim [for] the best rating."
Belcher said five-star safety is a key consideration for fleets – many of which will only purchase cars with top crash-test marks – falling short of which would hurt sales, even aside from a private buyer's perception.
Alex Misoyannis has been writing about cars since 2017, when he started his own website, Redline. He contributed for Drive in 2018, before joining CarAdvice in 2019, becoming a regular contributing journalist within the news team in 2020. Cars have played a central role throughout Alex’s life, from flicking through car magazines at a young age, to growing up around performance vehicles in a car-loving family.